Over the last few months, it has become apparent that Fannie Mae is more interested in foreclosing than approving short sales. The scenario is the same over and over again. The BPO comes in at one price and Fannie Mae adds 20 or 30% and says that is what they will accept. Some have suggested that they are trying to get next year's prices if the current price trends continue. In the meantime, buyers are unwilling to overpay by that much and are backing out of the contracts when they hear the outrageous prices that FM is asking. If you dispute the value, they reject it and then consider their number good for an additional 90 days from the decision on the dispute. Has anyone else been experiencing the same kind of problem with Fannie Mae being the investor??
Has anyone tried out their new process of asking Fannie Mae for a suggested list price?
If so, how long did it take? did they do an interior BPO or how did they come up with the suggested value? Was it accurate or how far off was it? Overall thoughts with pros/cons?
I have been following this since raised and experienced this myself about 4 months prior to your first posting. This is a problem. But I think the solution to this problem may come from another problem that they are creating. And that is Disclosure. And I know they as a party repossessing property they only need to disclose material facts that they are aware of.
Like Value. On the property I lost to foreclosure Fannie had plenty of documentation on value. after repossession they sold the property $75000 over Comp value one of which was a model match.they do this without disclosing their BPO's and appraisals to the unsuspecting buyer by offering to finance the property with no appraisal. Everyone knows its a great deal to save the appraisal fee and over pay for the property. This also may put the Buyers agent in litigation danger by not disclosing that a property is over priced and recommending the buyer have the property appraised as we do a physical inspected.